Florida Sales Tax Rules

12A-1.017 Finance and Interest Charges and Carrying Charges on Installment Sales

The amount paid by any purchaser as interest or as a finance charge is taxable unless such interest or finance charge is separately stated from the consideration received for the tangible personal property transferred in a retail sale. For example, where articles are sold in a taxable transaction under an installment payment arrangement, retail title contract or purchase money mortgage for a stated amount payable in installments at intervals over a period of time, the entire amount is taxable. If, on the other hand, a cash selling price is stated and interest and carrying charges are added thereto as separate and distinct items, only the cash selling price is taxable.

Rulemaking Authority 212.17(6), 212.18(2), 213.06(1) FS. Law Implemented 212.02(16), 212.05(2), 212.06(1)(a), 212.07(2), 212.12(9) FS. History– Revised 10-7-68, 6-16-72, Formerly 12A-1.17, Amended 4-2-00.